HomeMy WebLinkAbout1984-02-02-R M
• RESOLUTION NO. ��-Z-
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF BATESVILLE, ARKANSAS,
CONDEMNING THE ACTIONS OF A FEDERAL ENERGY REGULATORY COMMISSION (FERC)
ADMINISTRATIVE LAW JUDGE AND FERC'S STAFF REGARDING THEIR DECISION AND
POSITION ON THE QUESTION OF THE ALLOCATION OF COSTS OF NUCLEAR FIRED
ELECTRIC GENERATING STATIONS IPJ THE STATES OF LOUISIANA AND MISSISSIPPI,
MAKING STATEMENTS AND RECOMMENDATIONS RELATIVE THERETO AND AUTHORIZING �
AND DIRECTING OPPOSITION TO SUCH DECISIONS.
WHEREAS, a FERC Administrative Law Judge (ALJ) , on the 3rd day of February
1984, in FERC Docket No. 82-616 , issued an Order requiring the Arkansas Power
and Light Company to purchase 36% of the capacity and energy of the Grand Gulf
Nuclear Generating Station in the State of Mississippi ; and
WHEREAS, in FERC Docket No. 82-483, the staff of the FERC, Louisiana Pub-
lic Service Commission, and others are advocating that the Arkansas Power and
i' Light Company and its rate-payers assume the payment of portions of the costs
of not only the Grand Gulf Nuclear Station, but also the Waterford III Nuclear
Generating Station in Louisiana; and
WHEREAS, the decision of the Administrative Law Judge in FERC Docket No.
82-616, the Grand Gulf case, could ultimately cost the rate-payers of the State
jof Arkansas , an additional two hundred eighty million dollars ($280,000,000)
per annum; and
WHEREAS, the decision of the FERC, not
yet made in Docket No. 82-483, the
Middle South System Agreement case, could cost the rate-payers of the State of
Arkansas , an additional seventy million dollars ($70,000,000) per annum;
NOW THEREFORE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF BATESVILLE,
ARKANSAS:
SECTION 1: The City Council condemns the actions of the FERC Administra-
tive Law Judge, in Docket No. 82-616. The 82-616 decision is without any pre-
cedent or other legal authority and would impose the costs of an expensive, un-
needed Nuclear Generating Station, in the State of Mississippi , on the rate-
payers of the State of Arkansas , whose citizens had no input or other decision
making authority with respect to the location of or need for such Nuclear Gen-
erating Station and whose electrical power and energy demand requirements make
such plant unnecessary.
SECTION 2: The City Council makes the following statements and recommend-
ations:
I
A. It is grossly unfair to the rate-payers of Arkansas to pay for nuclear
fired electric generating stations in Mississippi and Louisiana which were
never authorized or approved by officials of the State of Arkansas.
B. The two nuclear plants in question have a combined cost of approxi-
mately 5.2 billion dollars, with the Arkansas share for Grand Gulf alone apnrox
• limately 1 billion dollars .
C. Arkansas Power and Light Company, in apparent good faith, planned,
I[ sought approval from the Arkansas Public Service Commission for, constructed
land financed, with the assistance of Arkansas rate-payers , Arkansas Nuclear One
' Units 1 and 2 in the late 1960 's and 1970 's. The Arkansas nuclear generators ,
; had a total cost of approximately one billion dollars ($1,000,000,000) and have1
!' a combined electrical output of 1694 megawatts. The Arkansas share of the
Grand Gulf unit alone, (under the decision of the FERC ALJ) , also, has a cost
iof approximately one billion dollars ($1,000,000,000) yet the capacity assigned ;
to Arkansas is only 405 MW, less than 25% of the electrical output of Arkansas
j Nuclear One, 1 and 2.
D. ThP raniral and n�ki+ P4-a4--- _r �__
SECTION 3: This Resolution shall be in full force and effect from and
after its passage and approval and a copy shall be provided to members of the
Arkansas Congressional Delegation and to the Arkansas Public Service Commission
DATE:
APPROVED:
2g , 19 8 '�
R '
ATTEST:
CITY CLERK